Disney profits plunge 46 percent
By IANSWednesday, May 6, 2009
LOS ANGELES - Entertainment conglomerate Disney saw second quarter profits plunge by 46 percent, the company said Tuesday.
Citing restructuring charges, declining DVD sales and a drop in advertising, Disney said it earned $613 million in the quarter compared to $1.13 billion a year ago.
Revenue fell 7 percent to $8.1 billion from $8.71 billion in the year ago quarter. Disney’s parks and resorts saw a 12 percent drop in revenue, while the studio entertainment division saw sales down 21 percent.
‘We had a difficult second quarter due to the weak economy and other factors,’ Disney President and Chief Executive Robert Iger said in a statement. ‘At the same time, we remain focused on our core business strategy and believe our creativity, brands and businesses will serve us well as the economy recovers.’
